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HomeMy WebLinkAbout03/21/2006, C4 - USE OF UNALLOCATED FUNDS FOR COMMUNITY PROMOTIONS counat j ac En ba aEpoizt Cif CITY OF SAN LUIS OBISPO FROM: Shelly Stanwyck, ACAO Prepared By: Betsy Kiser, Principal Administrative Analyse SUBJECT: USE OF UNALLOCATED FUNDS FOR COMMUNITY PROMOTIONS CAO RECOMMENDATION As recommended by the Promotional Coordinating Committee (PCC), allocate $6,000 to sponsor the San Luis Obispo Visitors and Conference Bureau's (VCB) Monday Night Awards Dinner for the 2006 Outdoor Writers Association Conference (OWAC). DISCUSSION Background In the 2005-06 budget, $450,000 was allocated to be used for Community Promotions. Of that amount, approximately $76,000 was a transfer of funds encumbered the previous year to Barnett Cox and Associates (BCA) for promotions and public relations. When BCA's final invoice was paid on that encumbrance, $30,614 still remained in the encumbrance. The funds subsequently were unencumbered, and in turn, became available for use for other projects. The PCC Marketing Sub-Committee discussed the availability of these funds at its January 26, 2006 meeting and recommended that a plan be developed to allocate the $30,000 for tourism promotions and public relations (see Attachment 1 for minutes). Following the meeting, staff contacted the three Community Promotions contractors (BCA, the VCB and the Chamber of Commerce) to inform them of the availability of the funds and of the PCC's desire to see these funds used for promotions and public relations. Contractor Proposals At the February 8, 2006 PCC meeting, several ideas were discussed for the use of the funds, with two proposals being presented to the Commission for formal action. 1. VCB Proposal. The VCB submitted a letter of request for sponsorship support of one of two main events associated with an upcoming Outdoor Writers Association Conference (OWAC) being held June 4—6, 2006 in San Luis Obispo (see Attachment 2). The VCB is hosting this two-day conference, which is expected to be attended by approximately 100 professional print and electronic media journalists from throughout California specializing in outdoor venues and activities. The VCB request identified sponsorship opportunities for the Monday Night Awards Dinner or the Tuesday Closing Breakfast ranging in value from $1,500 to $6,000. The PCC discussed the proposal and determined that, a) "closing breakfasts" generally are not well attended by conferees and therefore would not provide the best value for the dollar CZ y-/ Community Promotions Funding Page 2 spent, and b) to provide less than full sponsorship of the Monday Night Awards Dinner could result in "co-sponsorship" of the event, thereby diluting the impact and intent of the sponsorship. Based on this discussion, the PCC recommended the allocation of $6,000 for sponsorship of the Monday Night Awards Dinner(see Attachment.3 for minutes). 2. BCA Proposal. BCA submitted four advertising/marketing programs for consideration (see Attachment 4). Of the four, the Commission was drawn to a program that would develop San Luis Obispo (SLO) Video B-Roll (on-going shooting and maintenance of video inventory showcasing the SLO Life—Farmer's Market, wine country, hiking, cycling, shopping; dining, arts, etc.) for use as needed for public relations support. The proposal recommended the production of seasonal videos that can be reworked and distributed to meet specific audiences and marketing/advertising needs. While the PCC took action on February 8t' supporting BCA's proposal to produce B-Roll video, another idea received after the meeting resulted in the PCC reconsidering that action at the March 8, 2006 PCC meeting and referring the item back to the PCC Marketing Sub- Committee for additional research (see Attachment 5 for draft minutes). Therefore, Council is being asked to consider only the VCB request at this time. CONCURRENCES Staff agrees that sponsorship of the OTWC Awards Dinne effectively meets the marketing and promotional needs of the City (immediately reaching 100 influential travel writers) and provides good value for the amount expended. FISCAL IMPACT . $30,614 remains unallocated in the Community Promotions account. If the VCB request is funded, $24,614 will be available for additional promotional and marketing activities. ALTERNATIVES The Council could choose not to fund the request or fund.it at a reduced level. This is not recommended based on the PCC's opinion that the sponsorship provides a good return on the investment in terms of future marketing and public relations opportunities. ATTACIM[ENTS 1. PCC Marketing Sub-committee Minutes from January 26, 2006 2: VCB proposal 3. PCC Minutes from February 8, 2006 4. BCA proposal 5. Draft PCC Minutes from March 8, 2006 G:\Projects&Programs\P.C.C\Council Agenda Reports\Use of Unallocated Marketing Funds 30706.DOC Cy-a- AnACHMEW 1 4. Sesquicentennial — Betsy Kiser reported on the status of the celebration. A community-based steering committee has been formed and is currently working on monthly events..The grand finale event in Mission Plaza is October 21, 2006. Community groups are encouraged to use the sesquicentennial logo to tie in their events with the city's birthday celebration. 4. CONTRACTOR REPORTS Chamber of Commerce PR — Lindsey Miller reported that the new visitors guide is currently being updated. A new Communications Director has also been hired by the Chamber. Chamber of Commerce Web Site—The tourism web site will be finished by March 31, 2006. Visitor and Conference Bureau —Jonni Biaggini reported that the Outdoor Writers Association Conference planning is in high gear: Various outdoor activities are planned for the group including hiking and the creek walk. The VCB requested City funding for a conference event which will go to the full PCC at its February meeting. Barnett Cox & Associates — Kacey Ampi shared the new SLO Passport brochures with the group. The tourism e-newsletter is undergoing a makeover and will have a new look for 2006. 5. OTHER NEW BUSINESS 1. The committee will consider updating/review of t n 2. A plan must a evelo ed to allocate the 30K in funds available in this ear's budget. mmi ee wi need to begin_t. a process of developing new agreements wit promotional agencies for 06-07. 4. The meetings will now be held on the 1St Thursday of the month. Meeting Adjourned at 12:59 p.m. PCC Marketing Subcommittee Minutes Page 2 ATTACHMEM2 QR San Luis Obispo County Visitors & Conference Bureau January 23, 2006 City of San Luis Obispo Promotional Coordinating Committee Dear SLO PCC: The San Luis Obispo County Visitors & Conference Bureau(SLOCVCB)will be hosting the Outdoor Writers Association Conference (OWAC) from Sunday, June 4 to Tuesday, June 6, 2006. During the 2-day conference, approximately 100 professional print and electronic media journalists from throughout California are expected to attend. All attendees will be staying in lodging provided, complimentary, at 16 hotels and motels located in the City of San Luis Obispo. Conference Registration, Board Meetings and Seminars will be held at the headquarters hotel, the Embassy Suites. While here,writers will enjoy many different opportunities to experience the "SLO Life." This will yield many favorable mentions of San Luis Obispo in their resulting stories, columns, radio shows and TV spots. We will be offering two separate excursions to showcase the City of San Luis Obispo's outdoor offerings. The first tour will be a ranger-led hike up Bishop's Peak, a walk along the Creekwalk and a tour of the downtown area. The second one will focus on the Edna Valley Wine Region and include a bike excursion, along with wine tasting, hosted by Central Coast Outdoors. The non-profit SLOCVCB is receiving only a small amount of funding from OWAC to assist with defraying the significant costs of the conference. The total costs, including in-kind donations, are expected to be approximately$15,000. The SLOCVCB is therefore relying upon donations/subsidies in order to create a quality event, that reflects favorably on the city and county. Hearst Castle and Aramark have already made a significant donation of a gala opening reception. The reception will consist of a barbecue, featuring Hearst beef, situated next to the outdoor Neptune Pool, with a value exceeding$20,000. The SLOCVCB is requesting much needed assistance from the City of San Luis Obispo in sponsoring either of the two main events: the Monday Night Awards Banquet Dinner(at the Embasy Suites) or the Closing Tuesday Breakfast (place TBD). Sincerely, Jonni S. Biaggini Executive Director 8I 1 EI Capitan Wm I Suite 200 1 San Luis Obispo j CA 9:401 IT:805-541-8000 I F`.805-543-9493 1.v.+•w.SanLuisObispoCouury.com Ny- / ATTACHMN2 Page 2 Sponsorship Opportunities are as follows: Monday Night Awards Dinner at Embassy Suites $6,000 Sponsorship level: • Identification as Exclusive Main Sponsor of the Dinner. • Logo on all print mailings for the event • Logo on "Souvenir Bag' provided to each attendee • Display booth provided at Registration area, which can be staffed(if desired)by city personnel. • 10 Dinner tickets provided to city. (To help enable staff and council people to mingle with attendees and reinforce the message of SLO. • 10 minute "Thank You' speech by a city representative. Monday Night Awards Dinner at Embassy Suites - $3,000 Sponsorship level: Identification as one of two Main Co-Sponsors of the Dinner. Display booth provided at Registration area, which can be staffed(if desired)by city personnel. 5 Dinner tickets provided to city. (To help enable staff and council people to mingle with attendees and reinforce the message of SLO. 10 minute "Thank You" speech by a city representative. Tuesday Closing Breakfast(location to be determined) - $1,500 Sponsorship level: Identification as Sponsors of Breakfast Logo to appear at breakfast Display booth provided at Registration area,which can be staffed (if desired) by city personnel. 2 Breakfast tickets provided to city. (To help enable staff and council people to mingle with attendees and reinforce the message of SLO. 10 minute"Thank You" speech by a city representative. 1 ATTACHMEW3 Promotional Coordinating Committee Minutes Wednesday, February 8, 2006 5:30 p.m. City Hall Council Hearing Room 990 Palm Street CALL TO ORDER: Chair, Diane Hunt Roberts 5:30 p.m. PRESENT: Justice, Hunt Roberts, Griffin, Nicklas, Norton, Rosene STAFF PRESENT: Betsy Kiser, Principal Administrative Analyst PUBLIC COMMENT No public comment. CONSENT AGENDA ACTION: Moved by Griffin/Justice to approve the minutes from January 11, 2006 and accept the remainder of the Consent Agenda as presented. Motion carried 6:0. COMMITTEE & BUDGET ITEMS 1. UNALLOCATED PROMOTIONS& PUBLIC RELATIONS FUNDS Kiser reported that at the end of fiscal year 2005, a balance of $74,448 remained of the 2004- 05 encumbrance to Barnett, Cox & Associates for public relations. BCA billed one last payment on the old encumbrance, leaving a balance of $30, 615, which subsequently was unencumbered so that the funds could be reallocated for promotions and public relations activities. The PCC was asked to discuss ideas for the use of the remaining funds, and review several formal proposals presented by the SLOVCB and BC&A, as follows: a. SLOVCB requested support for the Outdoor Writers Association Conference (OWAC). The request was for sponsorship of either of the two main events (Monday Night Awards Banquet or Closing Tuesday Breakfast) Sponsorship levels ranged from $1500-$6000. b. BCA proposed several opportunities, including an ad in Skywest magazine, a postcard mailer for the Wine Festival, a MNI luxury magazine group ad, or a SLO Video B-Roll (ongoing shooting and maintenance of inventory showcasing PCC Meeting Minutes February8,2006 C / —� Page SLO Life). The video would be seasonal, shot soundless and cost between $15,000-$20,000. C. Possible opportunities associated with the JEEP of the Mountain event - July 8 & 9, 2006. d. Chamber support for efforts associated with the Tour of CA or other special project. Dave Garth would need to submit a request. e. Marketing study update. The PCC discussed the pros and cons, advantages and benefits of the SLOVCB and BCA proposals. ACTION: Moved by Justice/Norton to approve the allocation of$15,000 to BCA for the B-Roll Video proposal and $6,000 to the VCB for the OWAC dinner sponsorship. Motion carried 6:0. 2. DISCUSSIO EGARDING MODE OF DISTRIBUTION OF AGENDA PACKETS Nicklas Norton and Min would like to receive their agenda packets electronically. Hunt- Roberts and Justice wo like hard copies. New members will be asked their preference. MARKETING OBJECTIVES 1. TOUR OF CALIFORNIA UPDA Lindsey Miller and Lynn Diehl provided t committee with a report on progress to date. .a. Budget— raised $25,000 an spent $11,000 on delineators, port-a potties, advertising, flowers and wine, us far. b. Diehl reported on the extensive planned for the next couple of weeks, the KSBY sponsored essay contest, th and painted Edna Valley wine label, and other aspects of the program. C. Miller discussed the Expo Center that wi be set up at Mission Plaza, at the comer of Chorro and Morro. The local Ex Center will use both sides of Chorro St. The center will accommodate ES for their live broadcast, stunt riders, live bands all day and have interactive s tions as well. The major sponsors of the TOC are Prudential Realty, Cann n & Assoc., Edna Valley Winery, Art's Cyclery and Madonna Inn. d. A meeting for the volunteers was held Saturday, Feb ary 4, with approximately 200 people in attendance. e. There are many hotel rooms booked, but hotels are not s d out. f. Hearst Castle has emerged as a big draw for the area. Lori Spence was introduced as a new Chamber staff member. Cox provided a preview of the 30-second commercial by BCA. It will run on ESPN ruary 241' in the 10-11 pm slot. It will run 1 time, but it has multiple uses forthe future events nd advertising. She also reported that an extra 6,000 postcards were requested from the to I bike club. PCC Meeting Minutes February 8,2006 /►�� Page 2 MACHMENT4 Barnett cox associates City of SLO Tourism Marketing Additional Advertising/Marketing Programs for Consideration 2/8/06 Media Product Circulation Cost Skywest Ad in SLO-feature issue 1.5M $850 - Magazine $1,700 Direct Mail Postcard mailer re Wine Festival 15,000 $4,200 households MNI Luxury In Style, Travel & Leisure, Food & Orange County $7344 Magazine group Wine, Town & Country 55,000 TV SLO Video B-Roll (ongoing shooting As needed for $15,000 - and maintenance of inventory PR support $20,000 showcasing SLO Life—Farmers Market, wine, hiking,biking, shopping, dining, cycling, arts, etc) C� � TTANIM � S MARKETING OBJECTIVES 1. TOUR OF CALIFORNIA UPDATE Dave Garth. Lindsey Miller and Lynn Diehl-provided the committee wi a report on the overwhelming success of the TOC and showed a short video of th vent. The costs associated with the TOC are still being analyzed, but all hard co were covered through sponsorships. The Chamber provided many hours of support r the event. Miller and Diehl provided a preliminary report of the media coverage SLO re ived, but added that they are still accumulating information from foreign markets. The PCC expressed their pleasure with the event an he Chamber's work. SUBCOMMITTE/tivitiesof TS 1. GRANTS IN AKSHOP Justice reminded that the IA sub-committee will be meeting twice in April to review grant applicationset u meeting times based on the availability of members. Deadline for the ns is is Friday, March 10 at 5:00 pm. 2. MARKETINGITTEE Griffin reported ovities of the Marketing sub-committee. Staff will arrange a meeting time for the sub-cto begin reviewing the marketing and advertising contracts for next year. BUSINESS 1 MS 1. ADVE SING Ma ' referred the PCC to her report contained in the agenda packet. Much of her work for the onth dealt with the TOC, bike advertising and the Sunset Magazine print. The Passport wi be distributed in March and will be good for one full year. 2. PUBLIC RELATIONS Garth asked the PCC to reconsider their previous action on allocating $15,000 for 13-roll video in order to give the Chamber an opportunity to bid for the work. Griffin would like to see BCA and the Chamber work together on the 13-roll. ACTION: Moved by Rosene/Nicklas to reconsider the PCC's previous action of February 8, 2006 on the allocation of$15,000 to BCA for the production of 13-roll video, in light of newly presented information. Direct the Marketing Sub-committee to consider alternative means of PCC Meeting Minutes C March 8,2006 Pagee 2 ATTACHMENT 5 producing the B-roll video and make a recommendation to the PCC at the next meeting. Move forward with the $6,000 recommendation for the VCB request. Motion carried 7:0. Mi highlighted that she has been working with the Family Travel. Diehl has been working on an icle dealing with adventure travel in SLO and reported that Rachael Ray will be coming the Central Coast in March. The PCC req ested an update on the Chamber's website. Garth indicated that it is taking an extended perio of time due to the sheer volume of it (900 pages updated thus far and over 100 hours spent it last month alone). 3. VISITORS CENTE Miller reported that website its continue to rise from last year(up 4,000). She has booked her attendance at CALTIA. 4. VISITORS AND CONFEREN BUREAU Biaggini also reported a significant inc ase in the number of hits to the VCB website. Cari Smith has been hired as the new sales a d marketing assistant and will begin the first of April. She passed around an article appearing in udget Travel magazine. PCC LIAISON REPORTS Justice reported that Black Watch and the Russian Balle ere excellent. Hunt-Roberts recommended attendance at the upcoming Civic Ballet pe mance of Alice. The meeting Adjourned at 7:04 pm to the April12, 2006 meetin PCC Meeting Minutes C J March 8,2 /Il Pagee 3 3 council acEnaa Report CITY OF SAN LUIS O B I S P O FROM: Councilman Paul Brown Ken Hampian, CAO Prepared By: Betsy Kiser, Principal Administrative Analyst SUBJECT: ALLOCATION OF FUNDING FOR THE MAXINE LEWIS HOMELESS SHELTER CAO RECOMMENDATION 1. Allocate $30,000 from savings realized from the Mardi Gras Operations budget to provide emergency funding for the operation of the Maxine Lewis Memorial Shelter (the Shelter); and 2. Direct staff to work with the Economic Opportunity Commission (EOC), the County, and other stakeholders to resolve the critical long-term funding deficits facing the Shelter. DISCUSSION Background As early as October 2005, the EOC's CEO Biz Steinberg held discussions with the City, County, media and other stakeholders regarding the critical funding shortfall anticipated for the Shelter for FY 2005-06. At that time, the deficit was predicted to be as high as $146,293 if alternate funding could not be secured. When Ms. Steinberg returned to the City in mid-February, $53,600 of the shortfall had been raised through donations, but the amount was still far below what was needed to meet the Shelter's current funding needs ($92,690). EOC requested that the City, in partnership with the County, consider augmenting the Shelter's budget to meet the revenue shortfall. On February 21, 2006, as part of the 2005-06 Mid-Year Budget Review, the City Administrative Officer provided the City Council with background information on the funding shortfall. After considering the information, the Council appointed Councilmember Brown to work with City staff, County officials, and EOC leaders to develop a recommended strategy for addressing the immediate problem of the 2005-06 Shelter funding shortfall, and the long term problem with an even larger group of stakeholders (once the immediate crisis was addressed). The Council asked that Councilmember Brown return to Council with a recommendation on March 21st, which is the subject of this report. City. EOC and County Meeting On Friday, February 24, representatives from the City, the County and EOC met to discuss the funding crisis at the Shelter and develop a strategy to resolve the crisis for this fiscal year. Ms. Steinberg reported that additional funds had been collected since the previous meeting with the City, and with potential funding from two grant sources, the revenue shortfall had been reduced to $56,000. Additionally, the media had agreed to cover the Shelter crisis in a three-part series over the upcoming weekend and additional revenues were anticipated from that effort. Not � S Allocation of Funding for Maxine Lewis Memorial Shelter Page 2 knowing what the outcome of the public plea might be, EOC asked the City and County to split the remaining deficit to allow the Shelter to remain solvent through FY 2005-06. Ultimately, the City and County agreed to recommend to their respective governing bodies that $30,000 each be allocated to the Shelter. If, in the meantime, alternate fundraising efforts proved successful, then City and County funds should be used to meet the expected funding deficits for 2006-07, while allowing for more time to resolve long-term funding deficits. Current Situation In response to the articles in the paper regarding the plight of the homeless shelter, hundreds of people throughout San Luis Obispo County contributed generously to the Shelter. As of March 8, 2006, EOC had raised sufficient funds to keep the Shelter solvent through 2005-06. However, although the short-term funding crisis has been averted, the critical long-term funding deficits facing the Shelter remain. In light of these deficits, EOC has requested that both the City and County continue with their $30,000 contributions (see Attachment). To do so will give all parties with a vested interest in the Shelter (EOC, City, County, and other major stakeholder in the community) the additional time needed to work together to resolve the long-term funding needs. CONCURRENCES The County has agreed to recommend$30,000 in funding to match the City's contribution. Also, EOC and the County have agreed to work together with the City toward a long-term funding solution for the Shelter. FISCAL IMPACT Staff is anticipating that cost savings from the Mardi Gras Operations budget will be sufficient to fund the City's contribution. If staff learns otherwise prior to the City Council meeting, we will so advise. ALTERNATIVES Since sufficient funding has been secured to operate the Shelter for this fiscal year, the Council could choose to not contribute the $30,000 at this time. This is not recommended: To follow through with this initial commitment will send a better message to the community, which has stepped forward and responded in a positive and generous way to the funding crisis. Additionally, the funding will enable all the parties to address the long-term funding deficit without the pressure of an immediate funding crisis. ATTACHMENTS March 8, 2006 Letter from EOC GASta Wiser\Community Partnerships\Homeless ShelteACAR-Funding for MLHS 32106.DOC RECEIVED AM, NO 1030 SOUTROOD DRIVE SAN LUIS 00PO CITY CALIFORNIA 93401 SLO ECONOMIC OPPORTUNITY CALIFORNIA CITY CLERK 9 COMMISSION-SINCE 1965 (805) 544-4.355 March 8. 2006 FAX(805) 549-8388 The Honorable Paul Brown City of San Luis Obispo Councilman 990 Palm Street San Luis Obispo; CA 93401 Dear Councilman Brown:. Our Chief Executive Officer Elizabeth "Biz" Steinberg is in Washington D.C. discussing programming and financial issues that effect the operations of many agencies throughout the country. In her absence, Ms. Steinberg has asked me to brief you on the status of the Maxine Lewis Homeless Shelter revenue shortfall which was discussed during our emergency meeting with the City, County and EOC staff last week. Through generous donations from hundreds of people throughout San Luis Obispo County, and with the assistance of the news media and various other groups, we have raised sufficient dollars to continue the operation of the Shelter thru June 30, 2006. That being said, EOC would like to encourage the City to move forward with the amount that was conceptually agreed upon at our meeting: $30,000 each from the County and City to support the Maxine Lewis Homeless Shelter. Continuing with this contribution at this time will give us the additional time we need to work together—and to bring other stakeholders to the table—to resolve the critical long-term funding deficits facing the Shelter. Following through with this initial commitment will also send a better message to the community, which has come forth in a remarkable and generous way over the last few days to assist with our crisis. Please call if you have questions or need additional information. We appreciate your collaboration, support and partnership through this very difficult time. Sincerely, ....... Nfell"Rosenblat Chief Administrative Officer/Deputy Director cc: Elizabeth "Biz" Steinberg *Child Care Resource Connection -Eineigeng Semices•Energy Conseywation • Weatberization Semites• Thrift Store •famill,11?anning.Skwices -Head Start *HometessSbelter 9 Aligrant Child Care *Senior IleallbScreening- Teen Parenting Program .10 Page 1 of 1 SLO Citycouncil-Allocation o. Funding for the Maxine Lewis Homeless 5nelter From: "Patricia Wilmore" <pwilmore@slochamber.org> RECEIVED To: <slocitycouncil@slocity.org> Date: 3/21/2006 9:10 AM MAR 21 2006 Subject: Allocation of Funding for the Maxine Lewis Homeless Shelter SLO CITY CLERK CC: <dgarth@slochamber.org>, <esteinberg@ecoslo.org> Dear Mayor Romero and Council Members, The San Luis Obispo Chamber of Commerce supports the allocation of$30,000 from savings realized from the Mardi Gras operations budget to provide emergency funding for the operation of the Maxine Lewis Memorial Shelter.We also concur that the city should work with the Economic Opportunity Commission,the County and other stakeholders to resolve the critical long-term funding deficits facing the shelter. The shelter provides a much needed service to the community and has wide spread support as evidenced by the recent outpouring of financial donations in response to the funding shortfall. We believe that it is prudent for the city to provide financial assistance at this time and to participate in finding a solution that will secure fiscal stability for the Maxine Lewis Shelter in the years to come. For these reasons,we request that you approve Item C5 on the agenda for your meeting of March 21,2006. Thank you for considering our input on this matter. Sincerely, Patricia Wilmore Vice President,Governmental Affairs San Luis Obispo Chamber of Commerce o/ pwilmore@slochamber.om JEJ COUNCIL qc CDD DIR (805)786-2761 CAO iy FIN DIR RACAO 1� FIRE CHIEF IP ATTORNEY IF PW DIR RED FILE ® CLERK/ORIG E POLICE CHF MEETING AGENDA ❑ DEPT HEADS t2 REC DIR 0 UTIL DIR DATE :*110& ITEM # CS Q HR DIR file://C:\WINDOWS\Temp\GW}000O1.HTM 3/21/2006 council M.�6,D�3a1oce Irm Niw6sr ac En ba Report P�.q j CITY OF SAN LUIS OBISPO FROM: John Mandeville, Community Development Direct r Prepared By: Phil Dunsmore, Associate Planner SUBJECT: CONSIDERATION OF A TENTATIVE TRACT MAP TO FINALIZE A CONDOMINIUM CONVERSION FOR ONE HUNDRED SIXTY EIGHT MULTI- FAMILY RENTAL APARTMENT PROPERTIES AT 1017 THROUGH 1045 SOUTHWOOD DRIVE; (TR 217-05). CAO RECOMMENDATION As recommended by the Planning Commission, adopt the attached resolution which approves the tentative tract map to allow the individual sale of 168 units at 1017 through 1045 Southwood Drive, based on findings and subject to conditions and code requirements. DISCUSSION Situation In accordance with Chapter 17.82 of the Municipal Code, the City Council approved a condominium conversion for 168 apartment units located at 1017 through 1045 Southwood Drive on July 19, 2005. The entitlement process to allow the conversion of apartment units to "for sale" condominiums is a two step process. The first step, previously approved by Council, involved the ranking of all submitted conversion applications based on criteria contained in Municipal Code Section 17.82.120 and actions to either approve or deny the conversion requests. The second step involves review and approval of the tract map that will finalize those conversions that were supported in step 1. The applicants are now seeking approval of the tentative tract map to finalize the approved conversion. Data Summary Address: 1017 through 1045 Southwood Number of units: 168 Applicant: Hamish Marshall Representative: N/A Zoning: Medium High Density Residential, Planned Development (R-3-PD) General Plan: Medium High Density Residential Environmental status: Condominium conversions of existing apartments are exempt from CEQA in accordance with Section 15301 k, "Existing Facilities", of the CEQA guidelines. * See the attached Planning Commission staff report, Attachment 5 for a complete project and site description. Council Agenda Report—TR 167-05 Page 2 Planning Commission Action On February 8, 2006, the Planning Commission reviewed the proposed tentative tract map and applicable project conditions and voted 6-0 to recommend approval of the map to City Council (see Attachments .3, 4 and 5). The recommended project conditions include improvements to private yards and patios, common open space areas, and the installation of covered parking (carports). These improvements are being reviewed by staff as part of a separate application for architectural review and will need to be completed prior to.recordation of a final map. Analysis A complete analysis of the tentative tract map can be found within the attached Planning Commission Staff Report (Attachment 5). As discussed in detail in this staff report, staff found the proposed map to be consistent with the City's condominium conversion regulations and General Plan policies. The Condo Conversion Regulations are designed to specifically prevent the displacement of low and moderate income persons and provide potential opportunities for relatively lower-priced units for sale. At a minimum, condominium conversions are subject to the City's Inclusionary Housing Requirements which require a percentage of the units to be deed restricted to affordable housing standards for a minimum of 30 years. The affordable housing requirements must be administered at the time of the recordation of the tract map. Project conditions require the applicant to deed restrict 34 (20% of the units) to very low income households. These are units that are already administered by the Housing Authority for Section 8 households. Instead of assigned units, the location of Housing Authority units currently vanes and constitutes a"floating" allocation based on availability. However, during the conversion process the 34 units will need to become fixed when title is transferred to the Housing Authority. At this time,. the property managers are moving the Section 8 tenants into the units that will become the fixed affordable units. Some of the units that are currently allocated for the Section 8 program will be sold at market rates following the conversion. At the Planning Commission hearing, .several tenants discussed frustration associated with the hardship of having to move. The City's Housing Programs Manager, Doug Davidson, has been working with the Housing Authority and Parkwood Village management to resolve these issues. A series of letters from the Parkwood Village property management describes this situation in further detail. (Attachment 6). The process of approving the tentative tract map is essentially a procedural review since the permission to approve these apartments to condominiums has already been granted. The tentative tract map process is still important, however, since this is the process whereby the City ensures that all pertinent conditions will be incorporated into the project prior to recordation of the map. The proposed tentative tract map is consistent with theapproved condominium conversion resolution and all applicable project conditions previously adopted by the City Council.. �� z Council Agenda Report—TR 167-05 Page 3 CONCURRENCES The conversion request has been reviewed by other City departments including Public Works, Utilities, Building and Fire. No significant concerns were noted, however it has been recognized that repair and replacement of driveway surfaces will be required. FISCAL IMPACT When the General Plan was prepared, it was accompanied by a fiscal impact analysis, which found that overall the General Plan was fiscally balanced. Allowing conversions of multi family rental properties to individual "for sale" properties is not likely to create significant fiscal impacts. ALTERNATIVES 1. Continue action to request additional information from staff or the applicants. If additional information is needed, direction should be given to staff. 2. Deny the map based on inconsistency with the Municipal Code Chapter 17.82 or inconsistency with the General Plan or Subdivision Regulations. ATTACHMENTS: 1. Vicinity Map 2. Reduced scale tract map 3. Planning Commission resolution, February 8, 2006 4. Planning Commission draft meeting minutes, February 8, 2006 5. Planning Commission staff report, February 8, 2006 6. Letter from Parkwood Village 7. Draft City Council resolution approving the tract map GAPdunsmore\Condo Convetsions\29-05(1017 Southwood)\Council rpt TR(03-21-06).doc y- 3 ONES JWE po MIS "41 OR 114 Vi am a& long bt ��.r rte, ��� •�� �.�j.. ��.� �: S, - 74 _ 1. ����;;, ♦ IIS i IIII� I! !111!11 . ;>'-;� � ��`�•`�` �•• .... �II� 111111 �,•.�n Men =111 Illlllllllllllr' ♦� �� , � �� �, O�� ;'• ��♦ �����♦♦ �♦: mom AA 0 oil lo IIIIIV '-.�L�� • .® _ � �J \� :�� ,♦���"3' ,f'i'b,♦ ♦♦��: ♦ �• ,,, ��64. �♦ ; , I 10 17 Southwood CIE - = Attachment 2 p_pi gg55 p� H ¢ a Lou gil6 p 9 � BES f� R Q CWs l „. . 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N S� r, LU Ul 0 0 v � , r� Attachment 3 RESOLUTION NO. 5445-06 A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF SAN LUIS OBISPO RECCOMENDING APPROVAL OF A TRACT MAP TO ALLOW CONDOMINIUM CONVERSION FOR 168 APARTMENTS AT 1017 THROUGH 1045 SOUTHWOOD DRIVE APPLICATION NO. TR 217-05 WHEREAS, the Council of the City of San Luis Obispo conducted a public hearing in the Council Chamber of City Hall, 990 Palm Street, San Luis Obispo; California, on July 19, 2005 and recommended approval of Application No. CON 29-05, a request to approve a Condominium Conversion for 168 apartments known as Parkwood Village at 1017 through 1045 Southwood Drive; and WHEREAS, the Planning Commission of the City of San Luis Obispo conducted a public hearing in the Council Chamber of City Hall, 990 Palm Street, San Luis Obispo, California, on February 8`h, 2006 to consider Application No. TR 217-05, a request to approve a Tentative Tract Map to finalize the Condominium Conversion for 168 apartments known as Parkwood Village; and WHEREAS, notices of said public hearing were made at the time and in the manner required by law; and WHEREAS, the conversion of existing residential apartments to ownership condominiums is exempt from environmental review (CEQA); and WHEREAS, the City Council has duly considered all evidence, including the testimony of the applicant, interested parties, and the evaluation and recommendations by staff and the Planning Commission, presented at said hearing. NOW, THEREFORE, BE IT RESOLVED by the Council of the City of San Luis Obispo as follows: Section 1. Findings. Based upon all the evidence, the Commission makes the following findings: 1. The proposed condominium conversion consisting of 168 apartment units is consistent with the General Plan because changing the apartments to condominiums will not impact available affordable housing since the conversion will provide deed restricted affordable units consistent with the City's Inclusionary Housing Ordinance. The number of existing units administered by the Housing Authority for section 8 families would not be reduced. 2. As conditioned, the tentative map complies with the property improvement standards for Condominium Conversions. 3. As stated in the applicant's property condition report, the property is in satisfactory condition and a report of any known defects will be made available to future property owners and kept on file at the City. Resolution No. 5445-06 - �) — Attachment 3 TR 217-05 Page 2 4. Based on a staff review of the application materials, a visit to the site and a review of City records, the property is in substantial compliance with the Zoning Code in terms of allowed use, density, parking, yard areas, building height, and all other applicable property development standards. 5. In accordance with the Condominium conversion standards the applicant has appropriately delivered a notice of intent to convert to each tenant pursuant to Section 66452.9 of the Subdivision Map Act. 6. As conditioned, each of the tenants will be given written notification within 10 days of approval of final map for the conversion. 7. Each of the tenants has been given 180 days written notice of intent to convert. 8. Each of the tenants of the proposed conversion has been (or will be) given notice of an exclusive right to contract for the purchase of his or her unit upon the same terms and conditions that such unit will be initially offered to the general public or terms more favorable to the tenant. 9. The existing apartments, due to location, design, condition, and general conformance with property development standards are appropriate for conversion to individual ownership units and will result in a quality living environment for future property owners. 10. In accordance with the CEQA Guidelines Section 15301 (K) the conversion of multiple family residences into condominiums is categorically exempt from environmental review. Section 2. Recommendation The Planning Commission does • hereby recommend approval of Application No. TR 217-05, a request to approve a Tentative Tract Map to convert 168 apartment units at 1017 through 1043 Southwood Drive to individual ownership condominiums in accordance with Municipal Code 17.82, subject to the following conditions: 1. If not already installed and operational, each unit shall be supplied with individual meters for gas, water and electrical service. Location and type of metering shall be subject to review and approval of the City Community Development Department and the Utilities Department. 2. A property condition report shall be submitted to the City prior to recordation of the final map. Any building defects noted in the property condition report submitted to the City shall be repaired prior to approval of the final condominium map. 3. Any improvements necessary to comply with the property improvement standards for condominium conversions (Chapter 17.82.110 A through O) shall be completed prior to approval of the final condominium map. Such improvements include (but may not be limited to): private open space yards, bicycle storage lockers, retrofitting units with additional energy compliance requirements such as increased insulation or insulated windows, restoration and refurbishing of landscape areas, installation of common area improvements, installation of smoke detectors and fire protection systems, or repair and upgrades of parking areas. 4. . Conditions, Covenants and Restrictions (C.C.&R.$) are required, to the approval of the Resolution No. 5445-06 - - Attachment 3 TR 217-05 Page 3 Community Development Director and the Public Works Director. The C.C.&R.s shall include a description and regulations pertaining to the open space easement and all common areas. The CC& R's shall be submitted to the Community Development Department for review by the City Attorney prior to recordation of the map. 5. The subdivider shall submit a final map to the city for review, approval, and recordation. The map shall be prepared by, or under the supervision of a registered civil engineer or licensed land surveyor. The final map shall be prepared in accordance with the Subdivision Map Act and the Subdivision Regulations. 6. Pursuant to Government Code Section 66474.9(b)(1), the subdivider shall defend, indemnify and hold harmless the city or its agents, officers and employees from any claim, action, or proceeding against the city or it agents, officers or employees to attack, set aside, void or annul an approval of the city, advisory agency, appeal board or legislative body concerning this subdivision. The city shall promptly notify the subdivider of any claim, action or proceeding and shall cooperate fully in the defense. 7. Each of the tenants of the proposed conversion shall be given notice of an exclusive right to contract for the purchase of his or her unit upon the same terms and conditions that such unit will be initially offered to the general public or terms more favorable to the tenant. 8. This right of first refusal shall extend at least ninety days from the date of issuance of the subdivision public report or commencement of sales, whichever date is later. The tenant's security deposit and last months rent shall be credited towards the purchase of the property. 9. Each of the tenants shall be given written notification within 10 days of approval of final map for the conversion. 10. The parking lot areas shall be reconstructed to repair damaged asphalt as necessary, prior to recordation of the map. Patching and sealing of some areas may be appropriate, however significantly deteriorated asphalt areas shall be removed and reconstructed rather than patched. 11. All exterior finishes, roofing, paint and exposed wood materials shall be repaired or refinished as necessary in order to bring thebuildings up to an above average condition. This may require removal and replacement of asphalt composition roofing if deemed necessary by an inspection report by a qualified home inspector. 12. Carports and.storage areas shall be constructed prior to recordation of the final map. The design of these structures is subject to architectural review. 13. Private open space yards shall be constructed as proposed at time of condominium conversion approval. Private open space yards, including new fencing and any other necessary landscape improvements, shall be completed prior to recordation of a final map. These features are subject to architectural review. Resolution No. 5445-06 _' Attachment 3 TR 217-05 Page 4 14. Prior to (or in conjunction with) recordation of the final map, a minimum of 34 units shall be deed restricted for at least 30years as affordable to very low income families or persons consistent with the City of San Luis Obispo Affordable Housing Standards. The units shall be deeded to the Housing Authority. On motion by Commissioner Loh, and seconded by Commissioner Christianson on the following roll call vote: AYES: Commrs. McCoy,Miller, Loh, Carter, Christianson NOES: None REFRAIN: None ABSENT: Commr. Osborne VACANCY: One The foregoing resolution was passed and adopted this 8th day of February 2006. RonaldWhisenarid, Secretary Planning Co ssion by: J71 1,3 Planning Commission Minute Attachment 4 January 11, 2006 Page 2 Terry Mohan, 24 Santa Clara, SLO, felt the area is inappropriate for residential uses and expressed concern with insufficient parking. There were no further comments made from the public. COMMISSION COMMENTS: Commr. Christianson inquired about available parking spaces. Comms. Loh inquired about the location of the nearest bus stop, expressing that a new bus stop may be necessary. Commr. McCoy voiced concern with the number of parking spaces needed for business uses that will be taken by local residents. Commr. Carter questioned whether UPS is in compliance with City regulations since they do not appear to have employee parking and they are using the street for trailer parking. He supported the project with the residential element because of the need for affordable housing in the city. On motion by Commr. Loh to approve the mixed-use proiect including a 20% parking reduction and a master use permit to refine the land uses: amend the resolution to allow light manufacturing in building B with an administrative use permit and modified the use list to allow mopeds or motorcycles to be sold in addition to_bicycles: and delete language from condition 7 to require modifications to lighti ng.. instead referring the matter to the ARC. Seconded by Commr. Carter. AYES: Commrs. McCoy, Osborne, Loh, Carter, and Christianson NOES: None ABSENT: Commrs. Miller and Boswell ABSTAIN: None The motion carried on a 5:0 vote. 2. 1017_ Southwood Drive. TR 217-05; Consideration of a tentative tract map converting 168 apartment units (Parkwood Village Apartments) into condominiums; R-3-PD zone; Hamish Marshall, applicant. (Phil Dunsmore) The item was continued to, February 8, 2006, without discussion. 3. Citywide. TA and ER 153-04; Comprehensive update to the City's Subdivision . Regulations, and environmental review; City of San Luis Obispo, applicant. (Continued from December 14, 2005) (Phil Dunsmore) Associate Planner Phil Dunsmore presented the staff report recommending approval of the revised document to the City Council. a Planning Commission Minutes Attachment 4 January 11, 2006 Page 3 PUBLIC COMMENTS: Steve Delmartini, SLO, expressed concerns with subdivision of lots, condominium conversions, R-1 zoning regulations, and other issues regarding homeowners associations. There were no further comments made from the public. COMMISSION COMMENTS: Commission discussion focused on the Common Interest Subdivision Regulations and the minimum lot size standards, which ultimately resulted in separate votes on the following issues: Chapter 16.017.040- Add language to require condominium conversions to be reviewed for previous water inundation or mold issues. This amendment was approved on a 5-0 vote. Chapter 16.17.080- Change the annual limit for condo conversions to be based on a 3- year average of rental housing produced in the City. This amendment failed on a 3-2 vote. Chapter 16.17.080- Modify the project ranking criteria to include the amount of time that units have been occupied as rental apartments to allow older rental units to have a higher priority for conversion. This amendment passed on a 5-0 vote. Chapter 16.017.040- Add language to the property condition report requirements to require a reserve study specialist to analyze the condominiums fee structure. This amendment failed on a 3-2 vote. Table 3- minimum lot size standards- Reduce the minimum lot size in all residential districts to 5,000 square feet. This amendment passed on a 4-1 vote. Table 3- minimum lot size standards- Reduce the minimum dimensions in the R-2 through R-4 zones to 50 x 80 square feet..This amendment passed on a 3-2 vote. Table 3- minimum lot size standards- Reduce the minimum dimensions in the R-1 zone to 50 x 80 square feet. This amendment failed on a 3-2 vote. Additionally, Commissioner Carter questioned the parkland dedication ratio and noted that existing regulations require 5 acres per 1,000 people and new regulations will require 10 acres per 1,000 people. Staff mentioned that this issue will be resolved for General Plan consistency prior to proceeding to City Council. The Commission also asked staff to analyze the lot size standards for similar surrounding communities in the report to Council. Planning Commission Minutes Attachment 4 January11, 2006 Page 4 On motion by Commr. Christianson to recommend the draft Regulations and the environmental document to the City Council for final approval with the above changes. Seconded by Commr. Loh. AYES: Commrs. McCoy, Osborne, Loh, Carter and Christianson NOES: None ABSENT: Commrs. Miller and Boswell ABSTAIN: None The motion carried on a 5 : 0 vote. 4. 1320 Roundhouse Avenue. O 174-05; Determination of General Plan Consistency for possible City acquisition of Union Pacific Railroad property as part of the Railroad District Plan implementation; C-S-S-H zone; City of San Luis Obispo, applicant. (Jeff Hook) The item was continued to a date uncertain, without discussion. 5. Staff A. Agenda Forecast An agenda forecast was provided on upcoming items and projects. 6. Commission ADJOURMENT With no further business before the Commission, the meeting adjourned at 9:50 p.m. to the Special Meeting of the Planning Commission scheduled for Wednesday, January 18, 2006, at 7:00 p.m. in the Council Chamber of City Hall, 990 Palm Street. Respectfully submitted by Jill Francis Recording Secretary Attachment 5 CITY OF SAN LUIS OBISPO -- -- _ PLANNING COMMISSION AGENDA REPORT ITEM#2 BY: Philip Dunsmore, Associate Planner(781-7522) MEETING DATE: February Wh, 2006 FROM: Ronald Whisenand, Deputy Director-Development Reviewfi FILE NUMBERS: TR 217-05 PROJECT ADDRESSES: 1017 through 1045 Southwood Drive SUBJECT: Review of a tract map to finalize the approved condominium conversion for 168 apartment units at 1017 through 1045 Southwood Drive. RECOMMENDATION Adopt the attached Planning Commission resolution which recommends that the City Council approve the tract map based on findings and subject to conditions and code requirements. BACKGROUND Situation In accordance with Chapter 17.82 of the Municipal Code, the City Council approved a condominium conversion for 168 apartment units located at 1017 through 1043 Southwood Drive on July 26`h 2005. The entitlement process to allow the conversion of apartment units to "for sale" condominiums is a two step process. The fust step involves the ranking of all submitted conversion applications based on criteria contained in Municipal Code Section 17.82.120 and actions to either approve or deny the conversion requests. The second step involves review and approval of the tract map that will fmalize those conversions that were supported in step 1. The applicants are now seeking approval of the tract map to finalize the approved conversion. Data Summary Address: 1017 through 1043 Southwood Drive Number of units: 10 studios, 30 1-bedroom units and 128 2-bedroom units Applicant: Westpac Representative: Hamish Marshall Zoning: Medium High Density Residential, Planned Development (R-3-PD) General Plan: Medium High Density Residential Environmental status: Condominium conversions of existing apartments are exempt from CEQA in accordance with Section 15301 k, "Existing Facilities", of the CEQA guidelines. 41-17 Attachment 5 Tx 217-05 February 8,2006 Page 2 Project and Site Description The tentative map will convert 168 apartment units to ownership condominiums. No new units will be constructed. The apartments are known as Parkwood Village, located on Southwood Drive near the entrance to Sinsheimer Park. The apartments were constructed between 1985 and 1987 on a 7.5 acre site. Fourteen separate buildings contain a mixture of studios, one, and two bedroom apartment units. A clubhouse and pool area serves as common open space and recreation facility near the center of the property. 384 parking spaces, 31% of which are covered, are dispersed throughout the site. Many of the units have built in laundry facilities and all of the units already have individual separately metered utilities. The project conditions adopted by Council required the applicants to construct additional covered parking and storage areas and improve the apartment unit's private open space areas. These items will need to be completed prior to recordation of a final map and are noted in the conditions of approval in the attached resolution. A separate application for architectural review has been filed by the applicant in order to allow staff to evaluate the design and compatibility of the new carports and other requited site improvements. EVALUATION General Plan Consistency There are no General Plan Policies which differentiate between rental and ownership housing. There are, however, General Plan .Policies that promote the preservation of affordable housing. LU2.5.Affordable Housing The City will help conserve and increase residential opportunities for residents with very low, low, or moderate incomes. As explained more fully in the Housing Element, each development project should contribute in some way to the conservation or production of affordable housing, considering the opportunities and limitations for the project. The major residential expansion areas, in particular, should include a wide range of housing types and costs to meet the needs of various income levels and housing preferences. H 4.2.2:Apartments and Condominium Projects Include both market-rate and affordable units in apartment and residential condominium projects and intermix the types of units. Affordable units should be comparable in appearance and basic quality to market-rate units. Staff response: These policies were seriously considered when the proposed conversions were reviewed by the Planning Commission and City Council, and conditions are recommended to Attachment 5 TR 217-05 February 8, 2006 -- Page 3 ensure these items are incorporated into the tract map approval. The Condo Conversion Regulations are designed to specifically prevent the displacement of low and moderate income persons and provide potential opportunities for relatively lower-priced units for sale. At a minimum, condominium conversions are subject to the City's Inclusionary Housing Requirements which require a percentage of the units to be deed restricted to affordable housing standards for a minimum of 30 years. The affordable housing requirements must be administered at the time of the recordation of the tract map.. Project conditions require the applicant to deed restrict 34 (20% of the units) to very low income households. These are units that are already administered by the Housing Authority for Section 8 households. Instead of assigned units, the location of Housing Authority units currently varies and constitutes a "floating" allocation based on availability. However, during the conversion process the 34 units will need to become fixed when title is transferred to the Housing Authority. At this time, the property managers are moving the Section 8 tenants into the units that will become the fixed affordable units. Some of the units that are currently allocated for the Section 8 program will be sold at market rates following the conversion. A letter from the Parkwood Village property management describes this situation in further detail (Attachment 3). Property Development Standards The condo conversion regulations require that a project "substantially comply" with the City's building and housing codes and Zoning Regulations in effect on the date the conversion project is approved. Each unit needs to be inspected for safety hazards, pest and termite damage, appropriate insulated windows, required heating and cooling systems, and separately metered utilities. Zoning compliance includes an analysis of parking areas, building coverage, height, yards, and project density. These issues were preliminary reviewed at the time of conversion review by the City Council and this project was found to substantially comply with the current standards. As a condition of tract map approval, the applicant must submit a property inspection report to the City that includes verification of necessary improvements. Any termite or moisture damage must be repaired, and any building or fire code improvements deemed necessary by the inspection must be completed prior to recordation of the map. In summary, the apartment units must comply with all project conditions prior to recordation of the map. Since the City's Subdivision Regulations allow condominium subdivision lots to be of any size or shape, the proposed airspace condominium map complies with the City's'Subdivision Regulations and does not require exceptions. Conclusion The process of approving the tract map is essentially a procedural review since the permission y-�9 Attachment 5 TR 217-05 February 8,2006 Page 4 to convert these apartments to condominiums has already been approved by City Council. The tract map process is still important, however, since it ensures that all pertinent project conditions will be incorporated prior to recordation of the map and the ultimate sale and transfer of the condominium units. ALTERNATIVES 1. Continue the item to request the applicant or staff to provide additional information or analysis. Specific direction should be given to staff for items to return to the Commission. 2. The Commission may recommend denial of the map if it is found that the map does not comply with the conditions of the approved conversion or if the map is not consistent with the City's Subdivision Regulations. If the Commission wishes to recommend denial of the map, specific findings of denial should be made. Attached: 1. Vicinity Map 2. Proposed tentative map 3. Letter from Parkwood Village management 4. Adopted City Council Resolution approving conversion 5. Proposed Planning Commission Resolution recommending approval of the Tract Map to the City Council. GAPdunsmore\Condo Conversions\29-05(1017 Southwood)UR 217-05 PC rpt(02-08-06).doc Rttachment 6 -�+ 1045 Southwood Drive Od San.Luis-Obispor CA 93401 w (46$), 5434901 Fax (805) 543-2997 -January 18,2006 Dear'W.Davidson, ti Asper our conversaon today,regarding the disposition of the c6rivenion " process,.pleaienore thatwe have provided 34 permanent addresses, the I3ousrng Autl ority Of these 34 units,.l2 Section 8 tenants will need to be relocated: Of those twelve;two tenanti Voiced concerns oto our office about the move. As of today,we have agcommodated their needs and have come to an amicable agreement regarding their relocation. Regarding the confusion of the few-Section 8 tenants,please note that historically Section 8 units have been assigned asthey become;available. The existing Section 8 units have always been randomly picked as needed and they were never assigned a permanent address to the Housing Authority until our final lisf of donations was confirmed lasrweek and forwarded to yourself and Dave Booker. Please understand that Southwood Condominium Development LP was,yery conscientious to finalizing these ehoices..-We took great care,in understanding our tepant's needs and assigned: thern'a unit according tothe composition of ther:family. A good portion of the tenant relocations only'tiave to move down a flight"of step's or to the building across the way. And in all cases,thesetenants are yeoeiving a rent ready.apartment, which means fresh paint,,clean carpet and gef.eial cleaning.throughout. We would also like"to pauu out that we are wbrking with the Hbusmg Authority:and have acquired all of'the necessary paperwork in advance. The teriants atlected,;only have'to come to the office within the complex tq sign their paperwork Weare also.hand dclrveimg the paperwork to the flousing;Authority ourselves. And per your.&t -are willing to help our taro handicapped residents with their mo-m. Wq 7iope-that this clears m'p;airy mrsundetstandirigs as a result of the conversion process'Please ra}l me if you'hav`e any additional cjn�stionsar ctmments. _-. _:. - . __ Snrcere, d y h F Mtgllel Pena . lvlenaSerSouth�vood Gondatiupi*De l e7opme�tt� -P�attc�vno�d pillage , Ce:Pat Smith,rom F4* it+I awitq OO� 1045 Southwood Drive RECEIVED Pa�wage San Luis Obispo,CA 93401 Fax(543-2997 MAR 0 SLO CITY CLERK March 9, 2006 Mayor Dave Romero City of San Luis Obispo Re: Parkwood Village Condominium Conversion, City Council Meeting, March_21,2006 Dear Mr. Romero,. Please find enclosed correspondence regarding current efforts by Parkwood Village to assist the 12 Section 8 tenant relocations and Westpac/HASLO partnering. Sinc erely, Tom Fee Parkwood Condominium Inc. Cc: Smith/Files //7/- fz e Q-/so � L�6L�4 G azul Lc� 5W9 CCUNCIL Ig'CDD DIR iR CAC tf FIN DIR RED FILE Q ACAO ;2 FIRE CHIEF (aATTQRNEY Iff PW DIP MEETING AGENDA ® CLERK/ORIG ®'POLICE CHF DATEITEM # p�3 ❑ DEPT HEADS M REC DIR F —e ® UTIL DIR ®B-4 o y-� Attachment 6 1045 Southwood Drive od San Luis Obispo,CA 93401 (805)543-2992 Fax(805)543-2997 March 8,2006 Doug Davidson Housing Program Manager 990 Palm Street San Luis Obispo,CA 93401 Re:Section 8 Tenant Relocations Dear Doug, We are forwarding a recap of the current efforts by Parkwood Village to assist the 12 Section 8 tenant relocations as well as give current tenants first right to purchase these units. As explained in our 1-18-06 letter,and as planned,Parkwood finalized the final Section 8 HASLO gift list which includes 12 tenant relocations within the complex.This final list came as a result of 2 months planning and negotiations agreed to by the owner and HASLO. Our apartment managers discussed the relocations with all of the affected tenants and believed that all questions and concerns had been addressed to that point.However,during the February 81b planning commission meeting,two Section 8 tenants voiced their displeasure at being relocated.To this end,we believe that we made a good faith effort to administer this as thoughtfully and professionally as possible. Since then,the ownership has decided to pay all relocation and utility transfer costs for Section 8 tenants not yet moved and compensate the individuals who already have relocated as a consideration for their inconvenience. In addition,our team met last week with Carol Hatley and Susan Bourbon at HASLO offices to begin planning the Section 8 tenant seminars to beheld on March 151i and 181'. At this seminar,Parkwood will detail the condominium conversion and improvement process and the Home Owners Association that will be formed.Carol's team will outline financial terms for Section 8 tenants.Also,a credit counselor will discuss credit repair and our in-house loan officer will outline available purchasing options(see attached Section 8 invitation). General tenant seminar's are scheduled for March 151i, 161'and 171'and will be conducted for the remaining residents to outline the process as well as introduce additional owner incentives(see attached tenant invitation). We are excited by not just making this historic property gift to the housing authority,but participating as a team to produce a positive effect on the local community. Sincerely, /000v Tom Fee Parkwood Condominium Inc. Cc:Smith/Hatley/City Council[File y--al-3 Attachment 6 .44 1045 Southwood Drive od San Luis Obispo,CA 93401 • (805)543-2992 Fax(805)543-2997 March 7, 2006 Current Resident 1045 Southwood Drive San Luis Obispo, CA 93401 Re: Section 8 Relocations—Gift Certificate or Rent Reduction Dear Parkwood Resident, We apologize for the inconvenience of your relocation due to the condominium conversion process,and would like to thank you for your cooperation in your recent move. Please note that Parkwood Village will be paying for all utility transfer costs associated with this move. Please bring all utility transfer costs into the management office for reimbursement. In addition,you have a choice of gift from Parkwood Village Apartments in the form of. • $200.00 off of April 2006 rent. C $200.00 gift certificate to Albertsons. (Available April 1, 2006) Please let us know your choice at your convenience. Should you have any questions or require more information please contact the office at 543-2992. Thank you for your time. Christie and Miguel Pena, Managers Parkwood Village Apartments Attachment 6 r� 1045 Southwood Drive P u San Luis Obispo,CA 93401 • (805)543-2992 Fax(805)543-2997 March 7,2006 Current Resident 1045 Southwood Drive San Luis Obispo, CA 93401 Re: Section 8 Relocations- Moving and Utility Transfer Costs Dear Parkwood Resident, We apologize for the inconvenience regarding your upcoming relocation and appreciate your cooperation in this matter. Please note that we will be providing movers for the relocation and paying for all utility transfer fees. Please bring all utility transfer costs into the management office for reimbursement. Should you have any questions or require more information, please contact the office. Thank you for your time. Christie and Miguel Pena,Managers Parkwood Village Apartments Page I y-mss Attachment 6 N ASLO �Q Housing Authority 487UffSVM PosrOffice Box 1289 San Luis Obispo CA 93405.1289 of the City of (805)543.4478 fax(805)5434992 San Luis Obispo rxa� wra�" s�s�dr, Georg¢J.Morten March 7,2006 To: Parkwood Village Section 8 Voucher residents Re: Parkwood Village Condo Conversion The Housing Authority of the City of San Luis Obispo management and Parkwood Condominium Inc.(PCI)will be conducting two GENERAL INFORMATIONAL meetings of appro)dmately 17 residents at a time. The sessions will be available at the following times:Wednesday.March 15,2006 from 5:00pm to 7:00pm 0 Saturday,March 18 from t 0.00am to 12:00pm. The meetings will be held at the Parkwood Community Center(ne)d to the pool). These 2 sessions are for clients of the Housing Authority only. Our goal is to keep you informed of your options as this conversion proeess progresses. "if one meeting fills up faster than the other,we will be calling and asking you to attend the other meeting," We encourage you to attend one of these meetings,as it will provide more information overall,as well as help you decide whether continuing rental or homeownership is best for your household Some topics that will be discussed at this meeting are: -condominium conversion and improvement process -Home Owners Association(HOA) -credit counseling and other training options -homeownership and continuing rental options -Questions&Answers Please call 5945315 to reserve your spat on one of the.above meeting dates AS SOON AS POSSIBLE. We apologize for the short notice. Sincerely,, Sandra Bourbon Director of Self-Sufficiency Attachment 6 106 Southwood Drive San LuisObispo,CA 93401 (803)SAS-2992 Fax(8051 543-2997 March 1,2006 Current Resident 1045 Southwood Drive San Luis Obispo,CA 93401 Re: Update on Parkwood Condominium Conversion Invitation to Attend Conversion Seminar Dear Parkwood Resident, As you know,the Parkwood Village Apartments have been scheduled for conversion to market rate condominiums.The Parkwood Condominium conversion has been in process for approximately I year and will be finalized in approximately 5 more months. When complete, all current residents will be receiving a final notification that the conversion is complete and units are eligible for sale to the general public. As promised to the City,Parkwood Condominium Inc.(PCI)will be offering our residents the exclusive right to purchase these units,prior to sale to the general public. In addition, PCI will be offering residents purchase incentives not available to the general public. In order to fully explain this program, PCI will be conducting evening seminars at the Parkwood Community Center(next to the pool). The times are as follows: • March 15"2006 @ 7:00 P.M. • March 16`h 2006 @ 7:00 P.M. • March 17d'2006 @ 7:00 P.M. Only our residents may sign-up to attend these seminars. Residents can sign-up at the management office. Seating for these events will be scheduled on a first come,first serve basis. We encourage all residents to participate in this informative program even if you are not planning on purchasing a condominium. At this seminar,we detail the condominium conversion and improvement process. We explain the Home Owners Association or HOA.Then,our in-house sales representative reviews comparable real estate to what is available at Parkwood. We then outline timing of sales along with interior amenities packages available at the time of purchase.Our in-house loan officer presents participants with information on programs available exclusively to residents of Parkwood,as well as other popular loan programs currently available. If ultimately,you decide to purchase a unit, our loan officers will work to tailor a loan program that best works with your needs. We are excited to share this exclusive opportunity of"homeownership"with our residents in advance of the units being released to the public market. We believe that the sale price of these condominiums coupled with Parkwood incentives,can provide a unique opportunity to own your own home in a thriving real estate market.. Attachment 6 1045Southwood Drive San Luis Obispo,G 93401 (1W5)543-2992 Fax 180515432997 As part of the conversion process,physical improvements to Parkwood Village have been scheduled for the common area and parking lots. Site improvements will include: I. Additional carports. 5. Repair site lighting. 2. Additional storage facilities. 6. Repair/repaint exterior railings. 3. Reconstruct,resurface,stripe 7. New fencing at patios. parking lots. 8. Landscaping repair or replanting. 4. Repair broken or heaving sidewalks. Cho ell �`'�"4,4�f�'b cff } Ail -U Parkwood Overall Site Plan Showing Carports and Patios This improvement process is scheduled to begin within 30 days. During the construction period, care will be taken to inform all residents in advance of scheduled work.All construction is typically performed within the normal workday week. We apologize in advance for any inconvenience that this required work might cause our residents. We will also be forwarding our master improvement schedule and phase map to all residents. If you have any questions or require more information,please contact the management office at your earliest convenience. Sincerely, /00V f Tom Fee,Project Manager Parkwood Condominium Inc. Page 2 y� - P.ftachineilit 6 lots Southwood oriw San Lids Obispo,CA 93401 1003)5432992 Fax(SM 543-2997 February 24,2006 Important Notice Condominium Conversion Improvements Dear Parkwood Resident, As you know,the Parkwood Village Apartments have been scheduled for conversion to market rate condominiums. As part of the conversion process,physical improvements to Parkwood Village have been scheduled for the common area,patios and parking lots. This improvement process is scheduled to begin within approximately 30 days. During this construction period,all residents will be given notice in advance of scheduled work. Work will be conducted within the normal workday week between the hours of 8:00 A.M. and 4:00 P.M. Residents will be notified in advance for any work required to be completed off hours. We apologize in advance for any inconvenience the improvement work might cause our residents. If you need any additional information regarding these scheduled improvements,visit our Parkwood Village Management office. Site improvements include: 1. Additional carports. 5. Repair site lighting. 2. Storage closets(located in parking lot). 6. Repair/repaint exterior railings. 3. Reconstruct/stripe parking lots. 7. New fencing at patios. 4. Sidewalk repair. 8. Landscaping repair or replanting. Parkwood Condominium Inc Construction Phase Map - M Q d Patios-�_ '" .•.,.r - — CarpnRS- if sur 1i1 1 � �r �',V w �t �tl =.�:�,t.�—•� , • �1 f T.ySr� line. .+�_ ♦ \�y.».I:J.i _ • w If -77-- ��...�/ • .`xG+t 1ti,�/;.'We4 .. ��L{nA AVA LJ. Parkwood Improvement Construction Phase Plan y�9 RESOLUTION NO. XXXX-06 Attachment 7 A RESOLUTION.OF THE CITY COUNCIL OF SAN LUIS OBISPO RECOMMENDING APPROVAL OF A TENTATIVE TRACT MAP TO ALLOW A CONDOMINIUM CONVERSION FOR 168 APARTMENTS AT 1017 THROUGH 1045 SOUTHWOOD DRIVE APPLICATION NO.TR 217-05 WHEREAS, the Planning Commission of the City of San Luis Obispo conducted a public hearing in the Council Chamber of City Hall,990 Palm Street, San Luis Obispo, California, on February 8, 2006 and recommended approval of Application No. TR 217-05 to the City Council, a request to approve a Tentative Tract Map to finalize the Condominium Conversion for 168 apartments known as Parkwood Village at 1017 Through 1045 Southwood Drive; and WHEREAS, the City Council of San Luis Obispo conducted a public hearing in the Council Chamber of City Hall, 990 Palm Street, San Luis Obispo, California, on March 21, 2006 and recommended approval of Application No. TR 217-05, a request to approve a Tentative Tract Map to finalize a Condominium Conversion for 168 apartments known as Parkwood Village; and WHEREAS, notices of said public hearing were made at the time and in the manner required by law; and WHEREAS, the conversion of existing residential apartments to ownership condominiums is exempt from environmental review (CEQA); and WHEREAS, the City Council has duly considered all evidence, including the testimony of the applicant, interested parties, and the evaluation and recommendations by staff and the Planning Commission, presented at said hearing. NOW, THEREFORE, BE IT RESOLVED by the Council of the City of San Luis Obispo as follows: Section 1. Findings. Based upon all the evidence, the Council makes the following findings: 1. The proposed condominium conversion consisting of 168 apartment units is consistent with the General Plan because changing the apartments to condominiums will not impact available affordable housing since the conversion will provide deed restricted affordable units consistent with the City's Inclusionary Housing Ordinance. The number of existing units administered by the Housing Authority for section 8 families would not be reduced. 2. As conditioned, the tentative map complies with the property improvement standards for Condominium Conversions. 3. As stated in the applicant's property condition report, the property is in satisfactory condition and a report of any known defects will be made available to future property owners and kept on file at the City. 4. Based on a staff review of the application materials, a visit to the site and a review of City records, the property is in substantial compliance with the Zoning Code in terms of allowed use, density, parking, yard areas, building height, and all other applicable 7 3v -J Attachment 7 Resolution No. [ ] Page 2 property development standards. 5. In accordance with the Condominium conversion standards the applicant has appropriately delivered a notice of intent to convert to each tenant pursuant to Section 66452.9 of the Subdivision Map Act. 6. As conditioned, each of the tenants will be given written notification within 10 days of approval of final map for the conversion. 7. Each of the tenants has been given 180 days written notice of intent to convert. 8. Each of the tenants of the proposed conversion has been (or will be) given notice of an exclusive right to contract for the purchase of his or her unit upon the same terms and conditions that such unit will be initially offered to the general public or terms more favorable to the tenant. 9. The existing apartments, due to location, design, condition, and general conformance with property development standards are appropriate for conversion to individual ownership units and will result in a quality living environment for future property owners. 10. In accordance with the CEQA Guidelines Section 15301 (K) the conversion of multiple family residences into condominiums is categorically exempt from environmental review. Section 2. Recommendation. The City Council does hereby approve Application No. TR 217-05, a request to approve a Tentative Tract Map to convert 168 apartment units at 1017 through 1043 Southwood Drive to individual ownership condominiums in accordance with Municipal Code 17.82, subject to the following conditions: 1. If not already installed and operational, each unit shall be supplied with individual meters for gas, water and electrical service. Location and type of metering shall be subject to review and approval of the City Community Development Department and the Utilities Department. 2. A property condition report shall be submitted to the City prior to recordation of the final map. Any building defects noted in the property condition report submitted to the City shall be repaired prior to approval of the final condominium map. 3. Any improvements necessary to comply with the property improvement standards for condominium conversions (Chapter 17.82.110 A through O) shall be completed prior to approval of the final condominium map. Such improvements include (but may not be limited to): private open space yards, bicycle storage lockers, retrofitting units with additional energy compliance requirements such as increased insulation or insulated windows, restoration and refurbishing of landscape areas, installation of common area improvements, installation of smoke detectors and fire protection systems, or repair and upgrades of parking areas. 4. Conditions, Covenants and Restrictions (C.C.&R.$) are required, to the approval of the Community Development Director and the Public Works Director. The C.C.&R.s shall include a description and .regulations pertaining to the open space easement and all common areas. The CC& R's shall be submitted to the Community Development Department for review by the City Attorney prior to recordation of the map. Attachment 7 Resolution No. [ ] Page 3 5. The subdivider shall submit a final map to the city for review, approval, and recordation. The map shall be prepared by, or under the supervision of a registered civil engineer or licensed land surveyor. The final map shall be prepared in accordance with the Subdivision Map Act and the Subdivision Regulations. 6. Pursuant to Government Code Section 66474.9(b)(1), the subdivider shall defend, indemnify and hold harmless the city or its agents, officers and employees from any claim, action, or proceeding against the city or it agents, officers or employees to attack, set aside, void or annul an approval of the city, advisory agency, appeal board or legislative body concerning this subdivision. The city shall promptly notify the subdivider of any claim, action or proceeding and shall cooperate fully in the defense. 7. Each of the tenants of the proposed conversion shall be given notice of an exclusive right to contract for the purchase of his or her unit upon the same terms and conditions that such unit will be initially offered to the general public or terms more favorable to the tenant. 8. This right of first refusal shall extend at least ninety days from the date of issuance of the subdivision public report or commencement of sales, whichever date is later. The tenant's security deposit and last months rent shall be credited towards the purchase of the property. 9. Each of the tenants shall be given written notification within 10 days of approval of final map for the conversion. 10. The parking lot areas shall be reconstructed to repair damaged asphalt as necessary, prior to recordation of the map. Patching and sealing of some areas may be appropriate, however significantly deteriorated asphalt areas shall be removed and reconstructed rather than patched. 11. All exterior finishes, roofing,,paint and exposed wood materials shall be repaired or refinished as necessary in order to bring the buildings up to an above average condition. This may require removal and replacement of asphalt composition roofing if deemed necessary by an inspection report by a qualified home inspector. 12. Carports and storage areas shall be constructed prior to recordation of the final map. The design of these structures is subject to architectural review. 13. Private open space yards shall be constructed as proposed at time of condominium conversion approval. Private open space yards, including new fencing and any other necessary landscape improvements, shall be completed prior to recordation of a final map. These features are subject to architectural review. 14. Prior to (or in conjunction with) recordation of the final map, a minimum of 34 units shall be deed restricted for at least 30 years as affordable to very low income families or persons consistent with the City of San Luis Obispo Affordable Housing Standards. The units shall be deeded to the Housing Authority. (End of Conditions) y—,3c;� Attachment 7 Resolution No. [ ] Page 4 On motion of seconded by and on the following roll call vote: AYES: NOES: ABSENT: The foregoing resolution was passed and adopted this day of 2006.. Mayor David F. Romero ATTEST: Audrey Hooper, City Clerk APPROVED AS TO FORM: Jon well, City Attorney ,11 -33 RECEIVED RED FILE ' MAR 10 M6 City of San Luis Obispo ME II�N��G AGENDA 3-20-06 �L�taIIT�Yc�L�&�K Mayor and City Counsel DATEJ....�._ ITEM # ' 990 Palm St. San Luis Obispo, Ca. 93401 Subject: TR 217-05, Parkwood Village Dear Mayor and City Counsel, Thank you for your work on this project thus far. Your attention is directed to the City Councils Resolution No. 9714 (2005 series), it states in Section 2, 5. "The parking lot areas shall be reconstructed to repair damaged surfacing as necessary prior to recordation of final map". The proposed Tentative Tract Map No. 2726, sheet 5 of 5, taken off the cities website, under SITE REPAIR, 1. states "Parking and driveway areas that have significant pot holes, cracks, or otherwise deemed in poor condition shall be patched and/or resurfaced prior to conversion". This latter statement is not in conformance with the resolutions intent. Patching is not reconstructing. Resurfacing can be interpreted as a thin asphalt seal coat, which is not reconstructing. The parking lot is failing in many different areas due to the average daily traffic (ADT) of approximately 1,700 trips per day not counting garbage trucks which do the most damage. There is also a subsurface drainage problem that is contributing to the parking lots pavement failing. The parking lot is approximately 20 years old which is usually asphalt concrete pavements life. The correct method of reconstructing the parking lots area would be to correct the subsurface drainage problem. This problem is most likely caused by a near by spring which can be seen running across the intersection of Southwood Dr. and Laurel Lane year round. The subsurface flow would need to be intercepted. Then remove the failing pavement and underlying aggregate base and"reconstruct"the failing areas with new asphalt concrete and aggregate base. Then"resurface"the entire parking lot with two inches of asphalt concrete pavement. Anything less of a reconstruction described above would not be in conformance with the resolutions intent and would transfer the sub dividers responsibility to the future homeowners, resulting in high maintenance costs. Please revise the tentative map and Section 2., Recommendations, No. 10 of the proposed resolution to reflect the Resolution No. 9714 (2005 series) direction of�QP� O reconstructing the parking lot not patching and sealing it. Thank you. C%tee_ Sincerely, W C61882 m EXP.9.3o,o a CIVl1. �P 'ETCOUCI ?CDD DIR CFCAI�CO >'CAO 'FIN DIR ACAO AFIRE CHIEF Daniel C. Erdman zr'ATTORNEY E PW DIR 1037-D Southwood Dr. CLERK CRIG .e POLICE CHF ElDEPT HEADS ,a REC DIR San Luis Obispo, Ca. 93401 Z UTIL DIR �' �HR DIR council m c m o na n b u m DATE: March 17, 2006 TO: City Council RECEIVED VIA: Ken Hampian, CAO MAR 171006 FROM: John Mandeville, Community Development Director SLO CITY CLERK BY: Philip Dunsmore, Associate Planner SUBJECT: Tentative Tract Map for Condominium Conversion, Public Hearing Item 4 (TR 217-05) During a review of the draft resolution the following clerical error was noted on page 2 of the resolution. Section 2 should have read Approval subject to Conditions instead of Recommendation. The final version of the resolution will be corrected as shown below. Section 2. Reeemmenda, Approval Subject to Conditions. The City Council does hereby approve Application No. TR 217-05, a request to approve a Tentative Tract Map to convert 168 apartment units at 1017 through 1043 Southwood Drive to individual ownership condominiums in accordance with Municipal Code 17.82, subject to the following conditions: RED FILE 1`5 COUNCIL C.) nIF. MEETING AGENDA �coo 27 FI,, 0 9 CI ACAO Lt'Fi,7E -THIEF DATE -gI TEM # 0r ATTORNEY Lr PW DIR CrCLERK/ORIG [E. POLICE CHF ❑ DEPT HEADS I- AEC DI9 UTI. r,-1 ?/2 6 c� - so C q� Red fife memo 3-17-06 Resolution No. [ ] Page 2 property development standards. 5. In accordance with the Condominium conversion standards the applicant has appropriately delivered a notice of intent to convert to each tenant pursuant to Section 66452.9 of the Subdivision Map Act. 6. As conditioned, each of the tenants will be given written notification within 10 days of approval of final map for the conversion. 7. Each of the tenants has been given 180 days written notice of intent to convert. 8. Each of the tenants of the proposed conversion has been (or will be) given notice of an exclusive right to contract for the purchase of his or her unit upon the same terms and conditions that such unit will be initially offered to the general public or terms more favorable to the tenant. 9. The existing apartments, due to location, design, condition, and general conformance with property development standards are appropriate for conversion to individual ownership units and will result in a quality living environment for future property owners. 10. In accordance with the CEQA Guidelines Section 15301 (K) the conversion of multiple family residences into condominiums is categorically exempt from environmental review. Section 2. Approval Subject to Conditions. The City Council does hereby approve Application No. TR 217-05, a request to approve a Tentative Tract Map to convert 168 apartment units at 1017 through 1043 Southwood Drive to individual ownership condominiums in accordance with Municipal Code 17.82, subject to the following conditions: 1. If not already installed and operational, each unit shall be supplied with individual meters for gas, water and electrical service. Location and type of metering shall be subject to review and approval of the City Community Development Department and the Utilities Department. 2.. A property condition report shall be submitted to the City prior to recordation of the final map. Any building defects noted in the property condition report submitted to the City shall be repaired prior to approval of the final condominium map. 3. Any improvements necessary to comply with the property improvement standards for condominium conversions (Chapter 17.82.110 A through O) shall be completed prior to approval of the final condominium map. Such improvements include (but may not be limited to): private open space yards, bicycle storage lockers, retrofitting units with additional energy compliance requirements such as increased insulation or insulated windows, restoration and refurbishing of landscape areas, installation of common area improvements, installation of smoke detectors and fire protection systems, or repair and upgrades of parking areas. 4. Conditions, Covenants and Restrictions (C.C.&R.$) are required, to the approval of the Community Development Director and the Public Works Director. The C.C.&R.s shall include a description and regulations pertaining to the open space easement and all common areas. The CC& R's shall be submitted to the Community Development Department for review by the City Attorney prior to recordation of the map. RECEIVED ' �IIIIIIIIIIIII���� IIIIjI MAR 212006 SLO CITY CLERK MEMORANDUM From the Office of the City Attorney March 21, 2006 To: Mayor and City Council Via: Ken Hampian, City Administrative Officer From: Jonathan P. Lowell, City Attorney 0" . Subject: Item PH 4, Consideration of a Tentative Map to Finalize a Condominium Conversion (TR 217-05) The applicant's representative has asked that the Council substitute for condition 14 on page 4-32 the attached language. Staff will address the request at tonight's meeting. If Council approves the substitute language, staff will reformat the proposed language and insert it as condition No. 14 in the Council's resolution. Attachment IR COUNCIL CAO CDC ) PO B ACAO IR FIN DIF; A7TORNEY 'FIRE CI iEF I RED FILE CLERK/ORIG po DIR MEETING AGENDA DEPT HEADS RELICE CHF C DIF? ; DATE-3 / ITEM #PHS B LITIL DIR to HR DIP, IC CONDMON OF APPROVAL 1. CONVEYANCE OF DONATED UNITS. Applicant shall convey to the Housing Authority title to the Donated Units, free and clear of all liens and claims securing monetary obligations (other than the lien for taxes not yet due and payable) and subject to customary closing costs and protected condominium costs, when both (a) there has been recorded in the Official Records of San Luis Obispo County a final tract map that subdivides the Property into condominium units, and (b)a Triggering Date has occurred. 2. RESTRICTION ON DONATED UNITS. Prior to (or in conjunction with) recordation of the above-described final tract map, there shall be recorded with respect to title to each of the Donated Units a deed restriction requiring that such Units be set aside, for a period of at least thirty (30) years, as affordable units to very low income families or persons consistent with the City of San Luis Obispo Affordable Housing Standards. 3. DEFINITIONS. For purposes of this condition,the term: (a) "AApnlicant" means Southwood Project, a California limited partnership, and its successors and assigns as owner of the Property. (b) 'Donated Units" means thirty-four (34) condominium units situated on the.Property. As outlined in Exhibit "A" (c) "Housing Authority" means the Housing Authority of the City of San Luis Obispo, California. (d) "Property" means the real property and improvements located at 1017- 1045 Southwood Drive, San Luis Obispo, California. (e) "Triggering Date" means the date that is thirty (30)days after the date on which Applicant, its successors, and assigns sells the first condominium unit at the Property to a bona fide purchaser unrelated to Applicant or any partner or shareholder of Applicant. The existing regulatory agreement is currently in force and effect. 4. EXTINGUISHMENT OF REGULATORY AGREEMENT. At the recordation of the deeds conveying to the Housing Authority title to the Donated Units, the regulatory agreement will be extinguished and have no effect on the Property or the owner thereof with respect to any subsequent period. C\DOCUME—I\slomerU.00AIS—I\Temp\CONDIT-2.DOC